Open a Cryptocurrency Company in South Africa

Cryptocurrency investment companies in South Africa are subject to several requirements regarding registration and proper functioning. A crypto license in South Africa is required for virtual asset service providers (VASP) who engage in activities such as the provision of crypto wallets, and others.

In this article, our lawyers in South Africa answer a number of key questions related to the VASP license in South Africa as well as the steps needed to open a company in this business field.

Investors who wish to know more about the incorporation process, as well as those who require assistance when opening a company, can reach out to our attorneys for details regarding crypto companies in South Africa.

What are the steps for investors who open a cryptocurrency company in South Africa?

Company formation in South Africa is subject to a number of mandatory steps.

Our team of lawyers in South Africa summarizes the main stages for opening a private company below:

1. Reserve the company name: the initial application can include a name reservation; otherwise, the enterprise name is used for registration;
2. Deposit the funds: R125 for a private company with a standard Memorandum of Incorporation (R425 with a customised one) plus R50 for a name reservation;
3. Provide the documents: copies of the identity documents of the applicants and the incorporators and directors, the company’s Memorandum of Incorporation (customized or standardized);
4. Register the company: the registration is processed once the documents are submitted to the Companies and Intellectual Property Commission.

If company formation in South Africa is your focus, our team can help you incorporate irrespective of the industry in which your business will activate. The duration of this process can vary according to several factors, and our local team is able to represent your interests during most of these stages when acting as your appointed representative. You can ask our team if you have questions.

Investors who also wish to relocate to the country will need to follow additional steps to obtain temporary residence. Our immigration lawyers in South Africa can detail these steps.

The following estimated turnaround times are to be expected:

• 1 working day for the company name reservation;
• 3 working days for the name change;
• 5 days from the registration of a private company with a customized Memorandum of Incorporation.

Investors who require specialized assistance to open a cryptocurrency company in South Africa can reach out to our team of attorneys who specialize in incorporations. We assist entrepreneurs who wish to open a business or a branch irrespective of the business field or industry. Our team can also help you open a company in South Africa.

Is there a need to apply for a crypto license in South Africa?

Cryptocurrency businesses, including cryptocurrency investment companies in South Africa, are subject to regulation and licensing as per the rules set forth by the Financial Sector Conduct Authority (FSCA).

The aim of the crypto license in South Africa is to ensure that these types of companies offer legal services, protect the assets of their clients from undue risks, and are not engaged in money laundering or terrorism financing.

South Africa’s Central Bank also has a Financial Surveillance Department that is involved with supervising crypto companies in the sense that digital asset trading platforms are expected to report transactions involving cryptocurrency.

Once it receives a VASP license in South Africa, a business is required to comply with ongoing supervision.

What are the general principles for regulating crypto assets in South Africa?

Although the FSCA has licensing duties and oversees the companies that apply for a crypto license in South Africa, crypto assets are not seen as legal tender. As a result, the following types of activities are commonly regulated/licensed:

• Advisory financial services concerning digital currencies;
• Intermediary services;
• Investment management solutions concerning crypto assets.

Some of the principles that concern the rules for crypto asset service providers are the following:

• Crypto assets are to be regulated in an appropriate manner, as to promote responsible innovation;
• A risk-based approach and an activities-based perspective are to be maintained;
• A proactive monitorization and a collaborative joint approach from the regulators will be maintained;
• Consumers will benefit from increasing their level of digital financial literacy in order to fully understand the products and services.

The licensing requirements for crypto asset services providers in South Africa took effect on 19 October 2022, when crypto assets were declared financial products under the FAIS Act. Existing companies had to submit their licence applications between 1 June and 30 November 2023.

The FSCA continues to process the received applications and handle the ones for new companies. Our attorneys in South Africa can assist you if you are ready to submit your crypto license application.

What is the tax status of cryptocurrencies in South Africa?

Cryptocurrencies are regarded as intangible assets by the South African authorities.

This means that individuals who derive income from such a source are required to declare their profits. Penalties apply for failure thereof.

Locally registered companies that provide services related to cryptocurrencies are subject to corporate income tax in South Africa, as per the applicable rules.

Our tax experts in South Africa can provide more details upon request about the tax treatment of companies.

Reach out to our lawyers for information about relevant amendments to the tax and financial laws that can concern the use of a crypto license in South Africa.

Brief statistical data on licensed crypto companies in South Africa

According to an FSCA update from December 2025, South Africa’s Financial Sector Conduct Authority has already licensed several crypto businesses, while other applications are pending. The data summarized by our attorney in South Africa shows that:

• By December 2025, 300 crypto asset service provider applications had been approved;
• 14 applications had been declined and 121 withdrawn by the applicants;
• The number of received license applications was 512 in total by December 2025.

Other services offered by our lawyers in South Africa

We also assist those interested in immigration to South Africa. We can answer questions about visas and residence permits for investors, when and where one should apply for these, as well as issues related to their validity and renewal. For foreign investors who have been in the country lawfully for a number of years, we can also answer questions concerning their permanent residency.

Foreign investors who decide to set up their cryptocurrency company in South Africa will need to apply for a business visa if they also intend to remain employed in their business. Our team can give you more information about the minimum investment amount, the application for the visa, and, for those interested in remaining in the country, the conditions for South Africa permanent residence.

Our team can help you open a cryptocurrency company in South Africa and we can put you in touch with our partners if you need to incorporate a company in Malaysia.

Contact our law firm in South Africa for more information about the crypto license in South Africa as well as to find out more about our complete services for businesses and individuals.